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MCHP vs TXN
Which Stock Would AI Choose? Microchip Technology (MCHP) vs. Texas Instruments (TXN) Stock Comparison
Key Takeaways
- MCHP and TXN both operate in the analog and mixed-signal semiconductor space, with exposure to industrial, automotive, and data-center markets.
- Recent market activity shows MCHP trading near $74 with year-to-date gains of approximately 18%, supported by data-center revenue growth and new product launches.
- TXN has demonstrated stronger year-to-date performance around 50-57% amid robust earnings beats and analyst upgrades tied to analog demand in AI infrastructure.
- Both companies reported sequential revenue improvements in recent quarters, with TXN maintaining larger scale and higher operating margins.
- Sector sentiment remains constructive for analog semiconductors due to ongoing industrial recovery and AI-related power-management needs.
- Relative positioning favors TXN on metrics such as free-cash-flow generation and market capitalization stability in the current environment.
Introduction
This comparison examines MCHP (Microchip Technology) and TXN (Texas Instruments), two established players in the semiconductor industry. Both firms supply analog and embedded solutions used across industrial, automotive, and computing applications. Traders and investors focused on relative performance within the analog semiconductor segment may find the analysis relevant for assessing positioning amid cyclical recovery and AI-driven demand. The review emphasizes verifiable recent developments, price behavior, and observable differences in scale and momentum.
MCHP Overview and Recent Performance
Microchip Technology designs microcontrollers, analog semiconductors, and related solutions for embedded control applications. In recent weeks, the stock has traded around $74, reflecting a year-to-date advance near 18% alongside a roughly 6% pullback over the past month. Positive sentiment has been supported by data-center revenue expansion, including guidance toward $500 million in calendar 2026, and new product introductions such as low-voltage clock buffers and connectivity solutions for software-defined vehicles. Quarterly results showed revenue growth exceeding 35% year-over-year in the most recent reported period, with analysts noting improving bookings across automotive and industrial segments.
TXN Overview and Recent Performance
Texas Instruments produces a broad portfolio of analog chips, embedded processors, and power-management devices. Recent trading levels near $269 correspond to year-to-date gains of approximately 50-57%, tempered by a 3-5% decline over the trailing month. Performance has been bolstered by strong earnings beats, with second-quarter revenue rising 23% year-over-year and operating margins expanding. Analyst upgrades followed the results, citing sustained demand in industrial and data-center end markets. The company has also highlighted pricing initiatives for select analog products amid improving supply-demand dynamics.
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Head-to-Head Comparison
MCHP and TXN share exposure to analog semiconductors but differ in scale and product breadth. TXN operates with significantly larger revenue and market capitalization, supporting broader diversification across industrial and automotive channels. Growth drivers for both include data-center power management and industrial recovery, though TXN has posted more consistent margin expansion in recent quarters. Recent momentum favors TXN on absolute returns, while MCHP shows notable sequential improvement from a lower base. Risk factors include cyclical inventory cycles for both, with MCHP carrying higher relative volatility. Market sentiment remains positive for the sector, with TXN benefiting from greater analyst coverage and free-cash-flow stability.
Tickeron AI Verdict
Based on observable factors such as trend consistency, earnings momentum, and relative positioning within the analog semiconductor group, Tickeron’s AI models currently assign a higher probabilistic preference to TXN. Its larger scale, sustained margin expansion, and broader analyst support provide a more stable profile amid ongoing sector recovery. MCHP demonstrates attractive growth in data-center solutions but operates from a smaller base with comparatively higher volatility. This assessment reflects pattern recognition across recent performance and fundamental metrics rather than forward projections.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is MCHP is a Buy and TXN is a Buy.
MCHP | TXN | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 50 | 50 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 72 Overvalued | 66 Overvalued | |
PROFIT vs RISK RATING 1..100 | 91 | 32 | |
SMR RATING 1..100 | 82 | 29 | |
PRICE GROWTH RATING 1..100 | 43 | 39 | |
P/E GROWTH RATING 1..100 | 98 | 20 | |
SEASONALITY SCORE 1..100 | 23 | 85 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
TXN's Valuation (66) in the Semiconductors industry is in the same range as MCHP (72). This means that TXN’s stock grew similarly to MCHP’s over the last 12 months.
TXN's Profit vs Risk Rating (32) in the Semiconductors industry is somewhat better than the same rating for MCHP (91). This means that TXN’s stock grew somewhat faster than MCHP’s over the last 12 months.
TXN's SMR Rating (29) in the Semiconductors industry is somewhat better than the same rating for MCHP (82). This means that TXN’s stock grew somewhat faster than MCHP’s over the last 12 months.
TXN's Price Growth Rating (39) in the Semiconductors industry is in the same range as MCHP (43). This means that TXN’s stock grew similarly to MCHP’s over the last 12 months.
TXN's P/E Growth Rating (20) in the Semiconductors industry is significantly better than the same rating for MCHP (98). This means that TXN’s stock grew significantly faster than MCHP’s over the last 12 months.
| MCHP | TXN | |
|---|---|---|
| RSI ODDS (%) | N/A | N/A |
| Stochastic ODDS (%) | 4 days ago 76% | 4 days ago 65% |
| Momentum ODDS (%) | 4 days ago 62% | 4 days ago 59% |
| MACD ODDS (%) | 4 days ago 67% | 4 days ago 57% |
| TrendWeek ODDS (%) | 4 days ago 68% | 4 days ago 63% |
| TrendMonth ODDS (%) | 4 days ago 67% | 4 days ago 59% |
| Advances ODDS (%) | 7 days ago 67% | 6 days ago 60% |
| Declines ODDS (%) | 5 days ago 75% | 12 days ago 60% |
| BollingerBands ODDS (%) | 4 days ago 63% | 4 days ago 56% |
| Aroon ODDS (%) | 4 days ago 75% | 4 days ago 60% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
MCHP’s FA Score shows that 0 FA rating(s) are green while TXN’s FA Score has 3 green FA rating(s).
- MCHP’s FA Score: 0 green, 5 red.
- TXN’s FA Score: 3 green, 2 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
MCHP’s TA Score shows that 4 TA indicator(s) are bullish while TXN’s TA Score has 4 bullish TA indicator(s).
- MCHP’s TA Score: 4 bullish, 5 bearish.
- TXN’s TA Score: 4 bullish, 4 bearish.
Price Growth
MCHP (@Semiconductors) experienced а +7.40% price change this week, while TXN (@Semiconductors) price change was +4.29% for the same time period.
The average weekly price growth across all stocks in the @Semiconductors industry was +0.09%. For the same industry, the average monthly price growth was +7.68%, and the average quarterly price growth was +54.84%.
Reported Earning Dates
MCHP is expected to report earnings on Oct 29, 2026.
TXN is expected to report earnings on Oct 27, 2026.
Industries' Descriptions
@Semiconductors (+0.09% weekly)The semiconductor industry manufacturers all chip-related products, including research and development. These chips are used in innumerable electronic devices, including computers, cell phones, smartphones, and GPSs. Intel Corporation, NVIDIA Corp., and Broadcomm are some of the prominent players in this industry. Semiconductor companies usually tend to do well during periods of healthy economic growth, thereby inducing further research and development in the industry – which in turn augurs well for productivity and growth in the economy. In the near future, demand for semiconductor products (and possibly innovation within the segment) should only expand further, with the proliferation of 5G, autonomous vehicles, IoT, and various AI-driven electronics set to herald a new, advanced chapter in the technology-driven world as we know it. With burgeoning prospects comes great competition. In 2015, SIA estimated that U.S. semiconductor industry ranks as the second most competitive U.S. industry out of 2882 U.S. industries designated manufacturers by the U.S. Census Bureau.
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MCHP and
Correlation & Price change
A.I.dvisor indicates that over the last year, MCHP has been closely correlated with MCHPP. These tickers have moved in lockstep 98% of the time. This A.I.-generated data suggests there is a high statistical probability that if MCHP jumps, then MCHPP could also see price increases.
| Ticker / NAME | Correlation To MCHP | 1D Price Change % | ||
|---|---|---|---|---|
| MCHP | 100% | +5.36% | ||
| MCHPP - MCHP | 98% Closely correlated | +4.74% | ||
| TXN - MCHP | 81% Closely correlated | +2.74% | ||
| ADI - MCHP | 81% Closely correlated | +2.87% | ||
| NXPI - MCHP | 79% Closely correlated | +3.44% | ||
| ON - MCHP | 77% Closely correlated | +5.54% | ||
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TXN and
Correlation & Price change
A.I.dvisor indicates that over the last year, TXN has been closely correlated with ADI. These tickers have moved in lockstep 82% of the time. This A.I.-generated data suggests there is a high statistical probability that if TXN jumps, then ADI could also see price increases.
| Ticker / NAME | Correlation To TXN | 1D Price Change % | ||
|---|---|---|---|---|
| TXN | 100% | +2.74% | ||
| ADI - TXN | 82% Closely correlated | +2.87% | ||
| MCHPP - TXN | 82% Closely correlated | +4.74% | ||
| MCHP - TXN | 80% Closely correlated | +5.36% | ||
| ON - TXN | 75% Closely correlated | +5.54% | ||
| NXPI - TXN | 71% Closely correlated | +3.44% | ||
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